The Lanka Hospitals C O R P O R A T I O N PLC (PQ 180)

Transcription

1 PROVISIONAL CONSOLIDATED FINANCIAL STATEMENTS FOR THE QUARTER ENDED 31st March 2018 The Lanka Hospitals C O R P O R A T I O N PLC (PQ 180)

2 Provisional Consolidated Financial Statements For the Quarter ended 31st March 2018 Board of Directors Dr. Sarath PARANAVITANE - Chairman Ven. Thiniyawala PALITHA THERO Mr. Daljit SINGH Mrs.Umashanthiee RAJAMANTRI Dr.Anil ABEYWICKRAMA Mr.Asendra Chaminda SIRIWARDENA Mr.Kalyana Sundaram SRIVASTAVA Mr.Thanuja Lasitha WEERATNE Mr.Nandana Jayantha MUNASINGHE Mr.Keerthi Bandara KOTAGAMA Mr.Saadi Wadood Mr.Ranjan Mohan WIJESINGHE Mr.Anurag Kalra (Alternate Director to Mr. Daljit SINGH ) Mr.Meghraj Arvindrao GORE (Alternate Director to Mr. Kalyana Sundaram SRIVASTAVA) Principal Place of Business & Registered Office No. 578, Elvitigala Mawatha, Narahenpita, Colombo 05 Tel: Fax: info@lankahospitals.com Web:

3 Statement of Financial Position As at, 31st March st Dec st March st Dec 2017 Audited Audited Rs. Rs. Rs. Rs. ASSETS Non Current Assets Property, Plant & Equipment 4,478,939,541 4,520,192,810 4,087,359,540 4,126,645,769 Intangible Assets 93,865,618 95,520,181 64,199,045 64,919,467 Investment Property ,000, ,000,000 Advance Lease Premium 206,634, ,169, ,634, ,169,008 Investment in Subsidiary ,000, ,000,020 Total Non Current Assets 4,779,439,934 4,818,881,999 4,896,193,380 4,932,734,264 Current Assets Inventories 301,912, ,734, ,260, ,990,892 Trade & Other Receivables 656,377, ,484, ,999, ,872,918 Amounts due from Related Parties 4,476,161 6,763, ,785, ,226,342 Economic Service Charge Recoverable 4,275,989 2,763, Other Financial Assets 2,134,624,553 2,225,856,177 1,674,554,268 1,767,813,585 Cash and Cash Equivalents 245,915, ,420, ,255, ,730,886 Total Current Assets 3,347,582,398 3,331,021,816 2,857,854,890 2,882,634,623 Total Assets 8,127,022,332 8,149,903,815 7,754,048,270 7,815,368,887 EQUITY AND LIABILITIES Equity Stated Capital 2,671,543,090 2,671,543,090 2,671,543,090 2,671,543,090 Revaluation Reserve 1,066,204,888 1,066,204, ,747, ,747,320 Retained Earnings 2,253,026,276 2,282,277,858 1,902,046,180 1,978,640,320 Total Equity 5,990,774,254 6,020,025,836 5,570,336,591 5,646,930,730 Non Current Liabilities Employee Benefit Obligations 172,587, ,551, ,950, ,614,829 Deferred Tax Liabilities 1,019,190, ,190, ,697, ,697,360 Total Non Current Liabilities 1,191,777,358 1,164,741,507 1,125,647,733 1,099,312,189 Current Liabilities Amounts due to Related Parties 16,505,428 23,481,174 4,769,076 4,769,075 Trade & Other Payables 601,356, ,823, ,583, ,415,984 Income Tax Payable 53,509,413 38,458,806 44,704,335 33,568,314 Bank Overdraft 273,099, ,372, ,007, ,372,595 Total Current Liabilities 944,470, ,136,472 1,058,063,947 1,069,125,968 Total Liabilities 2,136,248,077 2,129,877,979 2,183,711,680 2,168,438,157 Total Equity & Liabilities 8,127,022,332 8,149,903,815 7,754,048,270 7,815,368,887 Group Company The figures as at 31st March 2018 are provisional and subject to audit. I certify that the consolidated financial statements comply with the requirements of the Companies Act No. 07 of Chief Financial Officer The Board of the Directors is responsible for the preparation and presentation of these consolidated financial statements. Approved and signed for and on behalf of the Board. Chairman Director Date: 11th May 2018 Colombo (Amounts in brackets indicate deductions)

4 Statement of Comprehensive Income Group Company For the 03 months ended, 31st March st March st March st March 2017 Rs. Rs. Rs. Rs. Revenue 1,701,852,619 1,508,621,497 1,399,483,633 1,237,340,186 Cost of services (967,566,864) (809,460,083) (817,056,687) (691,777,384) Gross profit 734,285, ,161, ,426, ,562,803 Other operating income 14,478,730 11,287,587 16,112,230 12,742,587 Administrative expenses (422,214,619) (373,611,052) (330,745,047) (295,146,034) Other operating expenses (154,515,902) (154,331,015) (132,829,068) (139,861,249) Profit from operations 172,033, ,506, ,965, ,298,106 Finance income 68,677,435 57,138,708 54,489,194 46,620,320 Profit before tax 240,711, ,645, ,454, ,918,425 Income tax expense (46,230,812) (27,675,212) (42,316,227) (24,761,905) Profit for the period 194,480, ,970, ,138, ,156,520 Other comprehensive Income Other comprehensive income net of tax Total comprehensive income for the period 194,480, ,970, ,138, ,156,520 Basic earnings per share Dividend per share (Amounts in brackets indicate deductions)

5 Company Statement of Changes in Equity Stated Revaluation Retained Total capital reserve earning / (loss) Balance as at 1st January ,671,543,090 1,220,128,576 1,636,428,932 5,528,100,598 Profit for the period (January March 2017) ,156, ,156,520 Balance as at 31st March ,671,543,090 1,220,128,576 1,781,585,452 5,673,257,118 Balance as at 1 January ,671,543, ,747,320 1,978,640,320 5,646,930,730 Profit for the period (January March 2018) ,138, ,138,029 Dividend Paid - - (223,732,169) (223,732,169) Balance as at 31st March ,671,543, ,747,320 1,902,046,180 5,570,336,591 Group Statement of Changes in Equity Stated Revaluation Retained Total capital reserve earning / (loss) Balance as at 1st January ,671,543,090 1,284,777,892 1,887,953,836 5,844,274,819 Profit for the period (January March 2017) ,970, ,970,428 Balance as at 31st March ,671,543,090 1,284,777,892 2,099,924,265 6,056,245,247 Balance as at 1 January ,671,543,090 1,066,204,888 2,282,277,858 6,020,025,835 Profit for the period (January March 2018) ,480, ,480,587 Dividend Paid - - (223,732,169) (223,732,169) Balance as at 31st March ,671,543,090 1,066,204,888 2,253,026,276 5,990,774,254 (Amounts in brackets indicate deductions)

6 Cash Flow Statement 3 months ended 3 months ended Group Company CASH FLOW FROM OPERATING ACTIVITIES 31st March st March st March st March 2017 Rs. Rs. Rs. Rs. Profit before tax 240,711, ,645, ,454, ,918,425 Adjustments for : Interest income (45,444,488) (33,661,728) (31,256,248) (23,143,340) Depreciation on property, plant and equipment 95,998,280 82,354,785 86,225,966 74,269,540 Amortisation of intangible assets 5,038,504 3,033,147 3,161,356 1,634,902 Amortisation of advance lease premium 1,170,869 1,170,869 1,170,869 1,170,869 Provision for defined benefit obligation 9,483,150 6,636,635 8,296,572 5,557,928 Provision for impairment of trade receivable (1,404,235) (2,774,930) (1,404,235) (2,774,930) Gain on disposal of property, plant & equipment - (619,417) - (619,417) Operating profit before working capital changes 305,553, ,785, ,648, ,013,977 (Increase) / decrease in inventories (7,178,337) 1,975,804 (11,269,299) 23,030,192 (Increase) / decrease in trade and other receivables (105,001,063) 2,255,703 (84,722,532) 13,626,233 (Increase) / decrease in amounts due from related company 2,286,839 (454,828) (13,558,913) (7,894,036) Increase / (decrease) in amounts due to related company (6,975,746) (3,443,786) - - Increase / (decrease) in trade and other payables (68,467,536) (66,008,519) (60,832,948) (81,270,528) Cash generated from operating activities 120,217, ,109,374 85,264, ,505,839 Income Tax paid (10,180,205) (7,005,480) (10,180,205) (7,005,480) Defined benefit obligation paid (3,447,299) (1,702,686) (2,961,029) (1,702,686) Net cash flow from operating activities 106,590, ,401,208 72,123, ,797,673 Cash flow from investing activities Purchase of property, plant and equipment (54,745,010) (480,682,776) (46,939,736) (475,454,161) Purchase of Intangible assets (3,383,941) (2,777,107) (2,440,934) (1,969,197) Proceeds from disposal of property, plant & equipment - 2,820,222-2,820,222 Advance lease premium paid (4,636,636) (4,636,636) (4,636,636) (4,636,636) Interest income 45,444,488 33,661,728 31,256,248 23,143,340 (Investment)/withdrawal in other financial assets 91,231, ,948,809 93,259, ,948,809 Net cash flow from investing activities 73,910,525 (156,665,760) 70,498,260 (161,147,622) Cash flow from financing activities Dividend paid (223,732,169) - (223,732,169) - Net cash flow from financing activities (223,732,169) - (223,732,169) - Net increase in cash and cash equivalents (43,231,513) 64,735,449 (81,110,299) 3,650,051 Cash and cash equivalents at the beginning of the year 16,047,990 (68,262,013) 14,358,291 (69,161,165) Cash and cash equivalents at the end of the year (Note A) (27,183,523) (3,526,565) (66,752,008) (65,511,114) Note A Cash & Cash Equivalents at the end of the Period Cash & Cash Equivalents 245,915, ,485, ,255, ,501,126 Bank Overdraft (273,099,517) (286,012,240) (272,007,500) (286,012,240) (27,183,523) (3,526,565) (66,752,008) (65,511,114) (Amounts in brackets indicate deductions)

7 1). Basis of preparation of the Interim Financial Statements These interim financial statements have been prepared in accordance with Sri Lanka Accounting Standard LKAS 34 - Interim Financial Reporting. These interim financial statements should be read in conjunction with the annual financial statements for the year ended 31 December Further, provisions of the Companies Act No 7 of 2007 have been considered in preparing the interim financial statements of the Company. Latest Financial statements have been audited for the period ended 31 December Figures for the three months are provisional and subject to audit. 2). Comparative figures The presentation and classification of the financial statements of the previous period have been amended, where relevant, for better presentation and to be comparable with those of the current period. 3). Contingent liabilities There has been no significant change in the nature of the contingent Liabilities which were disclosed in the annual report for the year ended 31 December ). Public Holding As per the Rule No 8.7 (h) of the Colombo Stock Exchange, percentage of public shareholding as at 31/3/2018 was 16.73% (No of shares 37,433,261) and public shareholders as at 31/3/2018 was 7,304. 5). Revaluation of Assets The buildings of the Company / Group were revalued as at 31 December 2017 by Messrs A.A.M Fathihu - F.I.V (Sri Lanka) independent qualified valuer. Such assets were valued on current replacement cost basis, the surplus arising from the revaluation was transferred to the revaluation reserve and the value of the buildings of the company / group has been reflected in the financial statements at the revalued amount. 6). Investment in Subsidiary Investment made in subsidiary represents the acquisition of 41,400,002 shares at a value of Rs. 10 per share of the Lanka Hospitals Diagnostics (Pvt) Ltd, a fully owned subsidiary of the company.

8 7). Investment Property Investment property consists of value attributable to 7th floor of the building constructed on leasehold land, which is given on rental to Lanka Hospitals Diagnostics (Private) Limited. The investment property has been revalued by independent qualified valuer on the current replacement cost basis on 31 December 2017, valuation is carried out by Mr. A.A.M. Fathihu (FIV), incorporated Valuer. 8). Capital Commitments Lanka Hospitals Diagnostics (Private) Limited is committed to make a minimum investment of Rs. 500,000,000 in project fixed assets to get the entitlement for a tax exemption period of seven years. The Company has invested Rs. 423,652,183 in fixed assets as of 31st March 2018 and the balance commitment amounting to Rs. 76,347,817 to be fulfilled. 9). Reclassification of Cost of Services Comparative Figures For the better presentation, the management has decided to reclassify the Consultant fees under cost of services which was previously classified in administrative expenses. The amounts reclassified for 1 st quarter 2018 is Rs. 25,350,000/- and for 1 st quarter 2017 was Rs. 24,025,000/-.

9 Shareholder and Investor Information Top 20 Shareholding as at 31st March 2018 Shareholder No of shares Holding 1 Sri Lanka Insurance Corporation Ltd - Life Fund 66,097, % 2 Fortis Healthcare International Pte Limited 64,120, % 3 Sri Lanka Insurance Corporation Ltd - General Fund 56,080, % 4 Property Development PLC A/C 01 21,329, % 5 Bank of Ceylon A/c Ceybank Unit Trust 2,943, % 6 Bank of Ceylon A/c Ceybank Century Growth Fund 845, % 7 Deutsche Bank AG as Trustee for Namal Acuity 800, % 8 Ceylon Investment PLC A/c # , % 9 Ceylon Guardian Investment Trust PLC A/C # , % 10 Bank of Ceylon No.1 Account 309, % 11 Deutsche Bank AG as Trustee to Candor Opportunities Fund 308, % 12 Deutsche Bank AG-National Equity Fund 300, % 13 Deutsche Bank AG-As Trustee for Guardian Acuity Equity Fund 249, % 14 Sandwave Limited 227, % 15 Mrs. Conceicao Aparecida Dos Santos Woodward 220, % 16 Mr.Abeysiri Hemapala Munasinghe 179, % 17 Sezeka Limited 166, % 18 Mr.Surendran Subramaniam 156, % 19 Life Insurance Corporation (Lanka) Ltd 120, % 20 Mr.Shyam Anel De Silva 115, % 215,368, % Individual / Institution No of Shareholders As % No of Shares As % Individual 7, ,706, Institution ,026, , ,732, Resident / Non-Resident No of Shareholders As % No of Shares As % Resident 7, ,645, Non-Resident ,086, , ,732, Directors'/Senior Management Shareholdings as at 31st March 2018 Board of Directors Position No of shares Holding % Dr. Sarath PARANAVITANE Chairman - - Ven. Thiniyawala PALITHA THERO Director - - Mr. Daljit SINGH Director - - Mr.Kalyana Sundaram SRIVASTAVA Director - - Dr. Anil ABEYWICKRAMA Director - - Mrs.Ranathunga Arachchige Dona Umashanthiee RAJAMANTRI Director - - Mr.Hewakumanayakage Asendra Chaminda SIRIWARDENA Director - Mr.Weeratnemulla Gamage Thanuja Lasitha WEERATNE Director - - Mr.Nandana Jayantha MUNASINGHE Director - - Mr.Keerthi Bandara KOTAGAMA Director - - Mr.Ranjan Mohan WIJESINGHE Director - - Mr.Saadi Wadood Director - - Mr Anurag KALRA (Alternative Director to Mr.Daljith SINGH) Alternate Director - - Mr Meghraj Aravindrao GORE (Alternative Director to Mr.Kalyana Sundaram SRIVASTA) Alternate Director - - Senior Management Dr.Prasad Medawatte Group Chief Executive Officer - -

10 Shareholder and Investor Information (cont.) Price fluctuation (Market price of Ordinary share) Current Interim Period Comparative Period 3 Months ended 3 months ended 31st March st March 2017 Rs. Rs. Highest price Lowest price Closing Price Summary of Share Ranges Share Range No of shareholders No of shares Holding % 1 1-1,000 5,933 2,095, ,259 3,443, , , ,712, ,001-1,000, ,909, ,000,001-10,000, ,943, ,000,001 & Above 4 207,627, , ,732,

11 Financial Indicators Current Interim Period Comparative Period Current Period Immediately Preceding Financial Year 3 Months ended 31st March st December 2017 (Audited) Group Company Group Company 1 Net asset per share Rs. Rs. Rs. Rs. Total Assets - Short Term & Long Term Liabilities Total No of Shares 223,732, ,732,169 2 Gearing Ratio Total Debt N/A N/A N/A N/A Total Equity - 5,646,930,730 3 Quick Asset Ratio (Times) Current Assets-Inventory Current Liabilities 2,616,594,700 1,058,063,947 4 Interest Cover Profit before interest & tax (PBIT) N/A N/A N/A N/A Interest charges 108,663,485 -

12 Corporate Information Name of the Company The Lanka Hospitals Corporation PLC Company Registration No. PQ 180 Registered Office No.578, Elvitigala Mawatha, Narahenpita, Colombo 05, Sri Lanka Tel: Fax: Secretaries & Registrars to Shares Business Intelligence (Private) Limited No. 8, Tickell Road, Colombo 08, Sri Lanka Tel: Fax: